FCC attempts to quell fears about new ownership rules / Agency to study effects on local TV, radio programming

Jube Shiver Jr., Los Angeles Times

Published 4:00 am, Thursday, August 21, 2003

2003-08-21 04:00:00 PDT Washington -- Moving to quiet criticism that the Federal Communications Commission went too far in easing media ownership rules, FCC Chairman Michael Powell said the agency would take steps to make broadcasters more responsive to local communities.

Powell said the FCC would form a task force to determine whether broadcasters, some of whom have been criticized for airing generic newscasts that originate in centralized studios, should be compelled to produce more local news and other programming. Powell said the agency staff would begin a formal inquiry into rules that would promote "localism" at TV and radio stations.

In addition, the agency intends to accelerate the licensing of as many as 1, 000 low-powered radio stations that are largely being sought by churches, schools and other nonprofit groups, Powell said at a news conference.

The initiatives were unveiled nearly a month after the House of Representatives overwhelmingly approved an appropriations measure that would reverse the FCC by preventing any broadcaster from owning TV stations that reach more than 35 percent of U.S. households. The legislation would roll back the 45 percent TV ownership cap approved by the commission June 2.

With the Senate set next month to consider reversing many of the new media ownership rules, Powell has been under pressure to address what is threatening to become a major political embarrassment for the Bush administration.

Powell, the driving force behind the new rules that take effect next month, attempted to downplay concerns that the changes would promote mergers and leave a few big companies controlling the vast majority of stations.

"We heard the voice of public concern loud and clear, that localism remains a core concern of our public," Powell said. "And thus, I think it's time the commission address it head on."

Commissioner Michael Copps, one of two Democrats on the five-member FCC, said the study should have been done before the FCC approved the rules.

"You cannot use a blanket of study to quell the fire of public outrage about increasing control of the public's airwaves by fewer and fewer conglomerates," Copps said. "What if we complete these studies and find out that localism is not served by consolidation? It will be too late."

The FCC voted 3-2 along party lines in June to overhaul ownership rules for newspapers and television and radio stations.

Smaller broadcasters, network affiliates, consumer groups and others are concerned that the new limit will allow the networks to gobble up more stations and limit local control of programming.

Sen. Byron Dorgan, D-N.D., said he would call for the Senate vote next month. He said Powell's announcement "does not in any way resolve the issue that has been created by the FCC rule, which will result in much more concentration."

During his news conference Wednesday, Powell said he stood by the new ownership rules and was "not prepared to stay" or suspend the rules.

"The rules passed in June were accurate," Powell said. "But in the process we learned something. We learned about a deep-seated anxiety" in the United States about the media regulations.

Critics said Powell's proposal was disingenuous.

"This is absurd on the face of it," said Jeff Chester, executive director of the Center for Digital Democracy, an advocacy group. "This is a man who spent 18 months looking at the issue. Only now, after there's a unanimous uproar, does he decide to re-examine the issue. He is trying to shore up his support in Congress."

Mark Cooper, director of research at the Consumer Federation of America, said of Powell's announcement: "This is pure duplicity. . . . If you read the (June) order on newspaper-broadcast cross-ownership, they refused on First Amendment grounds to even ask whether a local station offers news. And now they're talking about looking more closely at the content of what is broadcast? Give me a break!"

Powell said Wednesday's announcement was not being made in response to criticism of the new ownership rules.

"It is not a political strategy," he said. "It is an effort to be responsive to consumers."

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